Bharat Coking Coal Limited (BCCL), a Maharatna subsidiary of Coal India Ltd, is preparing to debut on Dalal Street, potentially becoming one of the first major public sector listings of 2026, according to media reports. The initial public offering is expected to hit the market within the next two weeks. The proposed listing is part of the government’s broader strategy to unlock value from state-owned enterprises through the capital markets. Media reports suggest the BCCL IPO could be sized at around Rs 13.0 billion, implying a pre-listing valuation of nearly Rs 130 billion. The issue is expected to be a pure offer-for-sale, with Coal India planning to dilute about 10 per cent of its equity stake, equivalent to the sale of roughly 465.7 million shares. As the IPO will not involve any fresh issuance, the entire proceeds will accrue to Coal India rather than BCCL. The stake sale is aimed at enhancing transparency, improving market participation and unlocking shareholder value. Key details such as the price band, lot size and final issue structure are expected to be announced closer to the launch. ICICI Securities and IDBI Capital Markets and Securities have been appointed as the book-running lead managers, while KFin Technologies will act as the registrar. The Securities and Exchange Board of India had approved BCCL’s draft red herring prospectus in September. One regulatory step that remains pending is the appointment of six independent directors to BCCL’s board, a requirement before filing the final red herring prospectus. Sources said the Ministry of Coal has raised the matter with the Cabinet Secretary to expedite appointments and keep the listing process on schedule. Bharat Coking Coal is among India’s most important producers of coking coal, a critical input for steel manufacturing. The company also produces non-coking and washed coal, supplying mainly the steel and power sectors. Incorporated in 1972, BCCL’s mining operations are concentrated in the Jharia coalfields of Jharkhand and the Raniganj coalfields of West Bengal. The company has steadily increased output in recent years, with coal production rising from 30.51 million tonnes in FY22 to 40.50 million tonnes in FY25, representing growth of nearly 33 per cent over three years. In FY24, it produced 39.11 million tonnes of coking coal and 1.99 million tonnes of non-coking coal, surpassing earlier records. For the year ended March 2025, BCCL reported revenue from operations of about Rs 140 billion, largely flat year-on-year. Profit for the year stood at around Rs 12.4 billion, while net worth increased to Rs 65.51 billion from Rs 37.91 billion two years earlier. The company is debt-free, with no borrowings on its balance sheet. Coal India accounts for over 80 per cent of India’s domestic coal production through seven coal-producing subsidiaries, including BCCL. The proposed listing aligns with its strategy to monetise subsidiary value amid increased activity in the coal and mining sector. Coal India is also advancing critical mineral projects in India and overseas, including South America, Australia and Africa, alongside three coal gasification projects and pithead power plants aimed at improving efficiency and reducing emissions. Among the largest initiatives is a 1,600 MW pithead power project in Odisha, with land acquisition under way and an estimated cost of about Rs 160 billion. Another power project is being developed with Damodar Valley Corporation under a 50:50 joint venture.